Fundamentals · IBM

Growth Metrics for IBM

AI-generated plain-English read of growth metrics for IBM. Updated daily.

Moderate growth, accelerating with FCF divergence

high

Moderate growth (7.6% YoY) but accelerating from 1.8%: the direction is the real story; a company re-entering an uptrend from moderate growth can re-rate meaningfully if the acceleration sustains.

What will probably happen

  • Revenue growth is accelerating: if the trend sustains, the next reported period should show growth at or above the current rate.
  • Free cash flow lagging earnings is an early warning on cash quality: if working capital or accruals are the cause, expect cash generation to weaken even if reported earnings hold steady.
  • Highly erratic growth pattern: quarter-to-quarter volatility makes forecasting unreliable and reduces the quality of any single-period read.

What to do

If you HOLD this stock
Growth is accelerating. Maintain position and add on weakness; the trend is your friend until the first deceleration print.
If you're EVALUATING this stock
Erratic growth history adds forecast risk to any valuation model. Demand a larger margin of safety in the multiple before initiating.
If you trade OPTIONS
No sharp growth signal either way. Sell premium (covered calls or cash-secured puts) into the stable-growth backdrop rather than positioning directionally on growth alone.

13 periods of income data with recent reporting: trend reads are reliable.

Technical details

Technical analysis

Revenue YoY growth
7.6%
Revenue growth tier
Moderate
Trajectory
Accelerating
Earnings YoY growth
75.9%
FCF YoY growth
-2.6%
Earnings quality
Fcf Divergence
Growth consistency (CV)
11.36
Consistency tier
Erratic
Prior-avg revenue growth (2y)
1.8%
Income periods
13
Cash flow periods
13
Latest data date
2025-12-31 00:00:00

Key levels

Key price and metric levels
LevelValue
revenue yoy0.076
earnings yoy0.759
fcf yoy-0.026
prior avg rev growth0.018
cv revenue11.359
watch growth rate0.076

Caveats

  • Growth comparisons can be skewed by acquisitions, divestitures, or one-off items. Cross-check organic growth disclosures.
  • Operating cash flow is lagging reported earnings. Investigate working capital, accruals, or capex policy changes.

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